AUSTRALIAN STOCKS

Evening Post, Volume CX, Issue 112, 8 November 1930, Page 12

AUSTRALIAN STOCKS

. A.SHARP DECLINE SEQUEL TO NEW TAXATION > {Received Sch November, 11 a.m.) - LONDON, 7th November. -Beceipt in the City of the new Federal tisafckm proposal had the immediate effect of depressing Australiau Goveinjnent Stocks, both Commonwealth and State. Quotations are largely nominal, aj>d are'lower all round. C'ompaied with yesterday's prices, Commonwealth 5 per cent, -declined 40s, 6 per cent. 37s 6d. Vic-torian-3% per cent, fell 355, New South Wales Stock declines langed from 15s to 50s, and Queenslands from 20s to 30s. SYDNEY, 7th November. The easier trend on the thare market noted yesterday under the influence of Mr. 'JiyoniV Budget proposals has been accentuated to-day. Loan quotations in particular reacted sharply to the desire by -a section of the Labour caucus that ihe' December conversion should be delayed for a year. The bond market accordingly "finished weak. The ißSue maturing next week sold at £101,' representing a fall of los, despite theifact that £2 10s interest has accrued. The 5% per cent. 1933 issue dropped 10s to ,£95 15s. Altogether seven issues were denta, the losses ranging from 10s to 255. Sympathetic declines were also noticeable in bank shares- and leading industrials. British Tobacco shares fell 2s in consequence of ihe heavy Budget impost. The new Federal tax on property, embracing the income from rents, investments, and ' dividends, has teverely hit some lea-ding industrial companies, as the super-tax of 7% per cent, will make subetantial inroads into their profits.